Rio Tinto Venture Makes Further $10 Million Investment in McEwen Copper
By Robb M. Stewart
Mining giant Rio Tinto and automaker Stellantis have boosted their investment in McEwen Mining's copper subsidiary in a move that values the business at roughly $800 million.
Rio Tinto's Nuton venture agreed to an additional $10 million investment that will lift its stake in McEwen Copper to 14.5%. The two part transactions, which is set to close by Oct. 19, will involve a private placement of 152,615 McEwen Copper shares and the purchase of 232,000 shares owned by McEwen Mining in a secondary sale.
McEwen Mining, which will own just under 48% of its subsidiary after the investment closes, will receive about $4 million and McEwen Copper the remaining $6 million, which will be used to develop the Los Azules copper project in Argentina.
Earlier this year, Rio Tinto's Nuton invested a further $30 million in McEwen Copper in a move that raised its stake to about 14% and value the copper company at about $550 million.
McEwen Copper on Wednesday said it also closed an additional investment by Stellantis, the parent of brands including Alfa Romeo, Chrysler, Fiat and Jeep. The automaker bought 1.9 million McEwen Copper shares in a private placement, increasing its ownership to just over 19% from roughly 14% it owned in February.
Write to Robb M. Stewart at robb.stewart@wsj.com
(END) Dow Jones Newswires
October 11, 2023 08:40 ET (12:40 GMT)
Copyright (c) 2023 Dow Jones & Company, Inc.-
What’s the Difference Between the CPI and PCE Indexes?
-
Powell Unfazed By Sticky Inflation, but Rate Cuts Are Far Off
-
After Earnings, Is Microsoft Stock a Buy, a Sell, or Fairly Valued?
-
Best- and Worst-Performing Stocks of April 2024
-
Magnificent 7 Stocks Earnings Updates: AI Remains the Focus
-
Small-Cap and Value Stocks Are Undervalued
-
Why We Expect the Job Market’s Slowdown to Renew in 2024
-
5 Undervalued Stocks to Buy to Play a Little Defense
-
10 Top-Performing Dividend Stocks of the Month
-
Marathon Petroleum Earnings: No Change to Competitive Position, but Shares Look Expensive
-
Charlie Munger and How Not to Invest
-
Look Inside Berkshire Hathaway’s Portfolio Before Its Annual Meeting
-
After Earnings, Is AT&T Stock a Buy, a Sell, or Fairly Valued?
-
Mastercard Earnings: A Stable Environment Highlights the Firm’s Strengths
-
Pfizer Earnings: Solid Results Supported by Steady Tracking Toward $4 Billion In Cost Cuts
-
Starbucks Earnings: Not a Lot to Like About Results as Global Traffic Sputters